Israel world's third hottest real estate market

CNBC places Israel third behind China and Hong Kong on five year home price rises despite a reported 1.2% fall in 2011.

Despite the affordable housing protests, Israel is holding on to its spot as the third-hottest housing market in the world according to a survey by CNBC, based on data from real estate agents Knight Frank. The survey found that house prices in Israel jumped more than 21% in 2009 and16% in 2010.

Israel was placed third with 5 year growth of 54.5% beating Singapore into fourth place with five year growth of 50.5% but well behind China in top spot with five year growth of 110.9% and Hong Kong in second place with growth of 93.7%.

CNBC noted, "High home prices in Israel led to a series of protests in 2011 with demonstrators asking the government to intervene to cool the market. Thousands of protesters made headlines last July to voice concerns over a housing shortage and high rentals. The demonstrations seem to have had an effect on property prices, which fell 1.2% in 2011, according to Knight Frank."

But CNBC sees home prices rebounding saying, "However, after an interest rate cut from 3.25% to 2.5%in February, there appears to be resurgence in property demand, with new mortgages issued by banks jumping by more than 14% in March compared to the two pervious months."

Published by Globes, Israel business news - www.globes-online.com - on April 23, 2012

© Copyright of Globes Publisher Itonut (1983) Ltd. 2012

5 Comments
View comments in rows
Update by email about comments talkback
POST
Comments
Your name
Please insert your name
Content
Hyperlink in a new window Hyperlink Right Left underline italic bold Bulleted List Ordered List Face1 Face2 Face3 Face4 Face5 Face6
Your comment

Thanks
You comment was recieved and soon will be published.
In posting comments, I agree to abide by the Terms of Use
Globes encourages lively and frank debate, but posts that the editors consider merely abusive or otherwise inappropriate will be removed. Report inappropriate content
Thank you for posting your comment, which will be reviewed for publication.
Loading Comments...load
Load more comments
MORE FROM GLOBES
Jerusalem Int'l Congress Center NIS 1b approved for Jerusalem's entrance

The site is zoned for industry, commerce, housing, hotels, and public buildings.

housing Home sales down 32%

The 0% VAT plan on new homes for first-time buyers continues to influence the market.

Eran Nitzan  picture: Tamar Mitzpi Treasury official: Home prices hugely damaging

Deputy budget director Eran Nitzan says Israel is short of 100,000 housing units.

new homes New home sales down 21.7% in first half of 2014

The number of new home sales was down 24% in Jerusalem and 20% in Tel Aviv.

Danna Azrieli The heiress to the Azrieli empire

"Globes" investigates whether Danna Azrieli will be a fitting successor to her late father.

Twitter Facebook Linkedin RSS Newsletters גלובס